Why Choose Us?
0% AI Guarantee
Human-written only.
24/7 Support
Anytime, anywhere.
Plagiarism Free
100% Original.
Expert Tutors
Masters & PhDs.
100% Confidential
Your privacy matters.
On-Time Delivery
Never miss a deadline.
Division B was designated to be a profit center
Division B was designated to be a profit center. It generated sales of $400,000 and had variable costs of $250,000 and direct fixed costs of $80,000 and indirect fixed costs of $20,000. For short-term performance evaluation, a manager should calculate _____ which would be _____ and for long-term performance evaluation, a manager should calculate _____ which would be _____.
Group of answer choices
segment margin $50,000; income $30,000
segment margin $70,000; income; $50,000
contribution margin; $150,000; segment margin $70,000
contribution margin; $150,000; segment margin $50,000
Expert Solution
| Sales | 4,00,000.0 | ||
| Less: Variable Cost | 2,50,000.0 | ||
| Contribution Margin | 1,50,000.0 | ||
| Less: Department Fixed Cost | 80,000.0 | ||
| Segement Margin | 70,000.0 | ||
| Less: Allocated Fixed Cost | 20,000.0 | ||
| Net Income | 50,000.0 | ||
| Answer is Contribution Margin; 150000; Segment Margin; 70000 | |||
Archived Solution
You have full access to this solution. To save a copy with all formatting and attachments, use the button below.
For ready-to-submit work, please order a fresh solution below.
